HUD Reverse Mortgage Counseling
Learn How a Reverse Mortgage Works
Learn Options & Alternatives
Personalized Counseling for You
Develop an Action Plan
Reverse Mortgage Counseling Helps You Make Informed Choices
Senior homeowners now have the opportunity to use the equity in their home without having to sell or take on another monthly payment obligation. Consider a Home Equity Conversion Mortgage ( HECM ), otherwise known as a reverse mortgage. It allows senior homeowners, age 62 or older, to turn their home’s equity into available cash. Unlike traditional mortgages, where debt reduces as you make payments, reverse mortgages are “rising debt, falling equity” loans. This means that debt increases as you withdraw funds against the equity in your home. In a reverse mortgage you take your loan proceeds in a lump sum payment, as a monthly payment or as a line of credit.
As long as you live in your home and meet the basic requirements of living in the home, paying property taxes, paying hazard insurance, and maintaining your property to meet the US Department of Housing and Urban Development ( HUD ) standards you can live in your as long as you want. No monthly payment is required.
Reverse Mortgage Counseling Session Details
Our counselors are trained to help you understand a reverse mortgage and how it may affect you. We will assess your situation and identify your financing options. Also, we will explain the financial and tax implications, payment options, interest rates and costs. This will allow you to decide if a reverse mortgage is the right financial tool for you. Once you have completed the reverse mortgage counseling session you will be issued the required counseling certificate that needs to be filed with your lender at closing.
How to Arrange Your Reverse Mortgage Counseling Session
If you are interested in a reverse mortgage please contact Alliance Credit Counseling at (866)303-3328 or e-mail us at firstname.lastname@example.org or use the form to the right.
Reverse Mortgage Counseling Requirements
Reverse mortgage loans are federally insured, and federal regulations require that you must complete a reverse mortgage counseling from an approved nonprofit counseling agency, such as Alliance.
HUD requires that those receiving counseling should review Preparing for Your Counseling Session and this information from the National Counseling on Aging prior to a reverse mortgage counseling session.
Also required to be provided is information from the National Counsel on Aging ( NCOA ).
Other reverse mortgage requirements include:
- Be 62 years of age or older.
- Have equity in your home.
- Any existing liens will have to be paid at the reverse mortgage closing.